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The bench of Justice Rajan Gupta and Justice Karamjit Singh was "amazed" that the RERA had given a blanket extension to all projects, including those that had terminated long back. Rapping the Punjab Real Estate Regulatory Authority for passing a “palpably wrong” circular during the COVID lockdown period for broadening the term of ventures whose enrollment had expired long back, the Punjab and Haryana High Court today stayed its operation.
"Surprisingly, the circular may even give protection to those promoters/builders whose registration may have expired long back. The intent of the advisory issued by the Government of India was certainly not to accommodate such defaulters. We, thus, find something palpably wrong with the circular. Thus, the operation of the impugned circular dated 13.5.2020 the bench observed.
appearing before the Bench, the counsel fought that apparently the roundabout was issued to offer alleviation to ventures whose registration was expiring by March 15. Be that as it may, even the term of projects, whose registration had expired long back, had been stretched out by a half year by the temperance of the reprimanded roundabout. He presented that the ability to give fliers/warnings of this nature vests in the State Government and not in the adjudicatory bodies. At Best, RERA could have engaged an application under Section 84 or 85 of the RERA, 2016. Be that as it may, no such application was moved in the moment case.
Justice Gupta said the Bench neglected to comprehend the requirement for passing an "omnibus request" offering insurance to all tasks in the state, especially when the Act had a particular arrangement for engaging applications in the interest of advertisers/manufacturers for a time extension.
The bench agreed with the Petitioner that 'Power Majeure' statement can be conjured for this reason anyway the candidate who moves toward the RERA would need to persuade it that he has been constrained by "conditions outside his ability to control" to continue with the project.
The case will now come up on September 28
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